Inside information 8.7.2022

Gofore Plc’s Business Review 1-30 June, 2022: Half-year net sales grew by 40% – New agreements in June with e.g. Ministry of Agriculture and Forestry and City of Helsinki

Gofore Plc
Stock Exchange Release
8 July, 2022 at 11 am EET
Inside Information

Gofore Plc’s Business Review 1-30 June, 2022: Half-year net sales grew by 40% – New agreements in June with e.g. Ministry of Agriculture and Forestry and City of Helsinki

In June 2022, Gofore’s net sales were 12.5 million euros (9.1 million euros in June 2021). The last 12 month (LTM) pro forma net sales were 130.8 million euros in June. The Group employed 1,074 (803) people at the end of the month.

Net sales in January-June grew by 40 percent to 72.5 million euros from 51.7 million euros in the corresponding period in 2021. Gofore’s net sales in April-June were 37.1 million euros (26.4 million euros in Q2/2021), also showing 40 percent growth. Gofore’s half-year report will be published on 15 August, 2022.

CEO Mikael Nylund comments:

”We are very pleased with a successful June and the substantial growth of our first half-year period. Gofore’s mission to promote ethical digitalisation took steps ahead in June with great new contracts that all portray the impact we want our work to have. Sales-wise, June was exceptionally busy, which promises well for the rest of the year.

We were for example chosen as a partner for agencies under the Finnish Ministry of Agriculture and Forestry, in an extensive IT service tendering carried out by the National Land Survey of Finland; as number one priority position in cloud development and expert services, and as a subcontractor in testing to our long-standing collaborator, Knowit Oy. You can find a link to the customer’s release on this at the end of this review.

In this tendering, the customers emphasised safe, reliable digital services and expertise in cloud and artificial intelligence technologies. In addition to the ministry itself, it involved the National Land Survey of Finland, the National Resource Institute Finland and Metsähallitus (state forest enterprise). The work they do for the environment and natural resources develops a renewable, competitive, and sustainable Finland.

The agreement period is four years with an optional period of two years, and the parties will next make their individual frame agreements. The entire arrangement is worth 188 million euros. Although it’s not easy for us to evaluate the value of such a multi-operator tendering, our objective is to make Gofore’s share of this worth a few million euros per annum.

As communicated in June, our cooperation with the City of Helsinki is also further deepened, as our expertise in service and operations designer will be harnessed by the city upon a new frame agreement. Gofore is involved in the frame agreement worth a total of 22 million euros, in the area of digital service design as well as organizational design. This is especially encouraging to us, as we have determinedly invested in our design expertise for many years, and we employ as many as over a hundred design professionals. This project focuses on the ethical and inclusive development of services, both of which we find important.

Social impact can also be seen in the Virtual Finland project for the Ministry for Foreign Affairs of Finland, to which we offer a development team for a testing environment. This project is about creating a digital immigration service infrastructure for Finland, making it easier for companies, employees and students to enter and settle in Finland.

Continuing and extending our long-term customer relationships into an even closer collaboration is one of our important goals that was made reality in June with e.g. the Digital and Population Data Services Agency, University of Helsinki and CSC – IT Center for Science. We will help the university in agile software development, and for the Digital and Population Data Services Agency, we will provide expert services in data management and security. As we mentioned in our January-March review, cyber security is a long-term trend, the expertise of which is in very big demand. We also recently had the pleasure of announcing the 12-million-euro expert service agreement with CSC concerning the Digivisio 2030 project. Our private sector sales continued its positive development in June.

The amount of sick leave caused by the corona virus remained on the May level in June, in other words fluctuating, but not growing. Recruitment activity has slowed down as is customary in Finland in the summer, but many new top talents will be joining us after the holiday season.

The estimates we have given earlier on our long-term risks remain unchanged.”

Press release on the design agreement with the City of Helsinki:

The stock exchange release on the CSC agreement:

Key Figures

The numbers are unaudited. In the table below, we have corrected the Full Time Equivalent numbers we have incorrectly stated in the March and April business reviews as 959 for March and 980 for April.

Net sales, MEUR (Net sales 2021) 1 Pro forma LTM
Net sales 2
Number of employees at end of period 3 No. of working days in Finland Full Time Equivalent,
Subcontracting, FTE5
January 10.8 (7.5) 118.5 993 (727) 20 (19) 917 (697) 147 (109)
February 11.3 (8.1) 120.3 1,015 (736) 20 (20) 942 (698) 153 (111)
March 13.3 (9.7) 122.9 1,043 (792) 23 (23) 968 (735) 155 (118)
April 11.5 (8.5) 125.0 1,056 (791) 19 (20) 988 (743) 156 (112)
May 13,1 (8.8) 128,3 1,068 (799) 21 (20) 1,004 (755) 163 (109)
June 12.5 (9.1) 130.8 1,074 (803) 21 (21) 1,015 (755) 162 (108)

Unless otherwise stated, comparing figures presented in brackets refer to the corresponding period of the previous year. Devecto Oy’s figures have been consolidated into Gofore Group’s figures as of 3 January, 2022. 
1) Net sales, MEUR (net sales in 2021) indicates the unaudited net sales for the month in question.  
2) The last twelve months (LTM) pro forma net sales figure that the company uses tells the net sales for the Group structure of the time of reporting. The pro forma net sales include the impact of acquisitions and divestments and is unaudited.
3) Number of employees at the end of the review period.
4) Overall Capacity, FTE (Full Time Equivalent) figure shows the overall capacity of the Group’s personnel, converted into a value corresponding to the number of full-time employees. The figure includes the entire personnel, regardless of their role. The figure is not affected by annual leave, time-off in lieu of overtime, sick leave or other short-term absences. Part-time agreement sand other long-term deviations from normal working hours reduce the amount of overall capacity in comparison with the total number of employees. The personnel capacity of corporate acquisitions has been accounted for as of the date of the acquisition.
5) Subcontracting, FTE (Full Time Equivalent) figure shows the overall amount of subcontracting used in invoiceable work, converted into a value corresponding to the number of full-time employees. The subcontracting of the companies acquired by Gofore has been accounted for as of the date of the acquisition.

Gofore’s financial reporting

In its monthly business review, Gofore discloses its monthly net sales, last ten-month pro forma net sales and number of employees with comparison figures, as well as other indicators that help evaluate the company’s growth strategy execution, such as the Full Time Equivalent (FTE) numbers that describe overall capacity and the ratio of subcontracting.

In its quarterly business reviews, Gofore also discloses its EBITA, adjusted EBITA and EBITA-% for the quarter in question along with comparison figures, its organic growth number for the reporting period, and e.g. income statement and balance sheet.

Business reviews are published as soon as possible after the numbers are confirmed at the beginning of the following month, with the exceptions of January’s numbers, included in the full-year financial statements release, March numbers, included in the January-March review, and July numbers, included in the half-year report.

Mikael Nylund
CEO, Gofore Plc
tel. +358 40 540 2280

Gofore Plc is a digital transformation consultancy with over 1,000 impact-driven employees across Finland, Germany, Spain, and Estonia – top experts in our industry who are our company’s heart, brain, and hands. We use our holistic service offering – consulting, coding, design, and verification – as tools to incite positive change. We care for our people, our customers, and the surrounding world. Our values guide our business: Gofore is a great workplace that thrives on customer success. In 2021, our net sales amounted to EUR 104.5 million. In 2022, Gofore is celebrating its 20th anniversary. Gofore Plc’s share is listed on the Nasdaq Helsinki Ltd. in Finland. Get to know us better at

Subscribe to Gofore releases

Want to hear our news first hand? Subscribe to our stock exchange releases and press releases!

Subscribe to releases

Back to top